The Economic and Financial Crimes Commission (EFCC) has taken into custody Jalal Arabi, Executive Chairman of the National Hajj Commission of Nigeria, and Abdullahi Kontagora, the commission’s secretary, in connection with allegations of mismanaging the N90 billion subsidy for the 2024 Hajj pilgrimage.
According to The Punch, the anti-graft agency, in a document on Wednesday, said, “A total of SR314,098 was recovered,” from the NAHCON chairman and other ranking officials.
According to the Economic and Financial Crimes Commission (EFCC), its investigation uncovered evidence of fraudulent activities involving Jalal Arabi, Executive Chairman of the National Hajj Commission of Nigeria.
The EFCC alleges that Arabi, in collusion with others, misappropriated funds from the N90 billion Hajj subsidy by overpaying himself and other officials for operational costs.
The approved 2024 Hajj operational costs, as stipulated in the budget, are as follows: $4,250 for the Chairman/CEO, $12,750 for Commissioners, $3,825 for the Secretary, and $15,300 for Directors/Chief of Staff.
However, the EFCC claims that Arabi exceeded these approved amounts, fraudulently disbursing excess funds to himself, commissioners, the secretary, and directors for the 2024 Hajj operational costs.
“The chairman was entitled to SR15,929 but he got SR50,000; three commissioners who were meant to get SR 15,929 each received SR 40,000 each. The secretary got SR 30,000 instead of SR14,336. Directors/Chief of Staff received SR 30,000 instead of the SR2,550 they were entitled to. The total of
SR314,098 were recovered from all of them.”
The anti-graft agency had first grilled Arabi for hours on July 29 and released him on bail.
Also, last week Wednesday, some top officials of the Hajj commission were arrested by the Independent Corrupt Practices and Other Related Offences Commission over alleged mismanagement or diversion of the N90bn subsidy.
On Wednesday, a source in the EFCC told our correspondent that the NAHCON Chairman was taken in again on Wednesday for questioning and was detained.
“The Secretary and Chairman of the commission are in our custody and are facing serious interrogations on the N90bn subsidy, among other allegations,” the source said on condition of anonymity because they could not speak officially.
A document exclusively sighted by our correspondent revealed that SR 8,614,175.27 cash withdrawal out of the N90bn released by the Federal Government to the commission is yet to be accounted for by NAHCON.
The document partly read, “The sum of N90bn was released by the Federal Government of Nigeria to the National Hajj Commission to subsidise the 2024 Hajj Operations by the Federal Government of Nigeria.
“The total sum of N1, 764,705,937.62 was deducted by the Central Bank of Nigeria as bank charges.
“The sum of N88, 235,294,063.72 was subsequently converted into United States dollars at the rate of N1,416.13, which amounted to USD 62,307,164.48 and thereafter transferred into NAHCON British SAAB Account in Saudi Arabia.
“The sum of USD 62,307,164.48 was converted to Saudi Riyal at the rate of N3,748, which amounted to the sum of SR 233,527,252.47.
“That the opening balance of the IBAN-E track for 2024 Hajj activities was SR 19,813,810.89 and has an inflow of SR 485,000,000.00 from NAHCON with a closing balance of SR 78,985,266.03.
“That the closing balance is inclusive of the SR20,637,908.23 refunded from the Ministry of Hajj and Umrah Saudi Arabia.
“That the total sum of SR 22, 815,367.74 was withdrawn cash from the British SAAB account by one Abubakar Muhammed Lamin in Saudi Arabia during the 2024 Hajj operation.
“The expected cash payment for services and allowances to staff and stakeholders is SR 14,905,910.47.
“That the total sum of SR 8,614,175.27 cash withdrawal is yet to be accounted for by NAHCON.”
Meanwhile, an investigation into the commission’s activities since 2022 resulted in the recovery of estacodes paid to staff who did not undertake study tours and payments made to Shuraka’a al-Khair Group Ltd for services that were not rendered.
The document stated, “While investigation commenced on the criminal aspect which has led to the recovery of Estacodes paid to staff, who did not travel to Indonesia for study tour, also recoveries were made for services not rendered of the sum of SR 1,026,000.00 and SR 1,780,019.99, being purported 7.5% of consultancy paid to Shuraka’a al-Khair Group Ltd for debt recover of the sum SR20, 637,908.23 from the Ministry of Hajj and Umrah Saudi Arabia.”
The document stated that all supporting documents for payment of the consultancy services, including the Executive Chairman’s approval, were fraudulently backdated to January 23, 2024, to enable the payment of the sum of SAR 780, 019, 59 to Shuraka’a al-Khair Group Ltd on April 14, 2024.
“The first suspect, Jalal Arabi, confessed that the consultant did not render any services.
“A meeting of the Expanded Transitional Exco was held on 25th January 2024 with seven members and 18 staff in attendance but the payment of the consultancy services to Shuraka’a al-Khair Group Ltd was not discussed.
“The commission’s secretary slotted the approval for the payment of the 7.5% consultancy to Shuraka’a al-Khair Group Ltd in the minutes of the Expanded Transitional Exco meeting as item 10 under AOB to enable the perfection of the documentation to steal the funds.
“That the said sum of SR1,026,000.00, equivalent to about N430,920,000 Million, was also recovered from one Eastern Gulf Company Kingdom of Saudi Arabia.”
